This retro science lamp uses thermal conduction and convection, the wax warms and cools in the suspension liquid and makes organic flowing shapes.
Since the wax's density is so close to that of water, merely heating the lava lamp up will change the density enough for it to become lighter than water due to thermal expansion. As the wax rises, it cools which makes it heavier and slowly fall back down to the bottom.
The exact rations of the 2 blends is very carefully calibrated to this rising and falling works perfectly, and that they wax does not break up or just hang in place.