Ballarat and Sovereign Hill is a fascinating place to learn about the history of the goldrush era. Here you can wander through a re-creation of a goldmining town. You have the opportunity to pan for gold (don't get your hopes up most people are lucky to find a spec!) and visit an old goldmine. The township shows life as it was in the 1800's with demonstrations by blacksmiths, confectionery and candle makers just to name a few. The climax of the day is the sound and light spectacular 'Blood on the Southern Cross'.

Here are my recommendations for tours from Melbourne:
Sovereign Hill and Ballarat Day Tour
Overnight Sovereign Hill and Ballarat including 'Blood on the Southern Cross' sound and light show'