It might have a real name, but we just call it 'Ghost Cups.' To make our own set, I bought a package of white paper cups, and drew ghost faces on each with a Sharpie marker.
Simple and fun. And making it more challenging for older kids is very doable. Maybe they have to stand farther away, do it blindfolded, use their non-dominant hand, stand on one foot, etc. Lots of ways to go with it.