Seen my entry and want to learn how to make one of it too?
Well, here is the tutorial for it!

Result:

Program/Font Used:
Adobe Photoshop CS
Babycakes Font

Open a new canvas (ctrl-n).
I like mine big and wide, so I usually open at 500x500pixels

Type in your desired text alphabets by alphabets.
Note that the first alphabet is placed on top.

Don't forget to rotate some of them so that they won't appear stiff.

The only alphabets I rotated was 'h' and 'g'.

Next, for every alphabet, change their blending option.
At layers, right-click font layer >> blending option.

Drop Shadow
Blend Mode: Normal (White)
Opacity: 100%
Angles: 175
Size: 0

Stroke
Size: 3
Position: Outside
Color: White

 Fill in with any background you like and delete the parts where its not covering the font.

TIP: Use the magic wand tool (W) and click on the font interior. After that, Select > Inverse and delete the whole background.

Then change the opacity and mode of the patterned layer.
Multiply. Opacity: 18%.
You can see that I've already changed my background to a darker color.

And,.. you're done!
RESULT: