Lyric discussion by Caroline7502 

Cover art for Castles Made Of Sand lyrics by Jimi Hendrix Experience, The

I agree with most of the people above...

He is talking about dreams that you put all your hopes and dreams into but they get destroyed, demonstrated when he sings:

"And he built up a dream that when he grew up He would be a fearless warrior indian cheif Many moons past and more the dream grew strong until Tomorrow he would sing his first warsong and fight his first battle But something went wrong, surprise attack killed him in his sleep that night "

This also can mean that the things they had hoped for didn't turn out the way they wanted to...which is demonstrated above.

I agree with Temujin on the chorus, Jimi does a great job with the lyrics in this song.