“This could be the symbolic end for independently promoted festivals,” he said.

Pemberton, held in a picturesque spot about 100 miles north of Vancouver, British Columbia, was a typical entry into the frothy festival business. It was revived in 2014 by Huka Entertainment, a well-known independent promoter, after an earlier iteration failed. According to bankruptcy filings, the festival lost money for three years, and sold 18,000 tickets in 2017, down from 38,000 last year.

After the cancellation, fans took to social media to vent and mock using the hashtag #PembyFest. The complaints were not quite the supernova that followed the dissolution of the Fyre Festival, when planeloads of millennials arrived to find a ramshackle site that was far from the luxurious beach paradise they had been sold.

But the collapse of both Fyre and Pemberton has once again focused the industry’s attention on what has become a perennial question: Has the ever-expanding festival market hit its peak? High-profile failures like Pemberton and Fyre — which is now facing numerous lawsuits from ticket buyers and others — could erode consumer confidence, Mr. Geiger said.

Then there is simply natural competition, as more festivals are added to the calendar.

“Well-produced and curated events at a site the public loves will continue to do well,” said Gary Bongiovanni, the editor of the trade publication Pollstar. “But too many events mean the best will survive and the weak will wither.”

World-famous events like Coachella began as risky endeavors undertaken by small promoters. If the credit markets for festivals grow too tight, there may be no room for such innovation, said Sam Hunt, an agent with Paradigm Talent Agency whose artists Major Lazer and Run the Jewels had both been booked for Pemberton.