I'm trying to make a curved text effect using CSS3, HTML Canvas, or even SVG (see image below for example)? Is this possible? If so, how can I achieve this effect?
Update: To clarify: The text that will be styled this way will be dynamic.

SVG supports text-on-a-path directly, though it does not 'bend' the individual glyphs along the path. Here's an example of how you create it:
...
<defs>
<path id="textPath" d="M10 50 C10 0 90 0 90 50"/>
</defs>
<text fill="red">
<textPath xlink:href="#textPath">Text on a Path</textPath>
</text>
...
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