I have never heard of the term "dancing bologna" in reference to ridiculous and crazy design implementations. But if doesn't surprise me that the term exists, basically due to the amount of insane websites that have been perpetuated online.
There's a great article on DanCentury.com that describes many of these items, and unfortunately, gives examples as well.
Luckily, some of the items have died off a bit, but many still lurk, especially popup ads. The end of those will not come soon enough.
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