this is my first post here because I'm a bit lost at the moment. I currently have my ESP8266-01 hocked up to the Nano like this:
The issue I'm having is that it won't even turn on, only when I'm using the 3.3V pin the red led on the ESP8266 turns on. If connected to 3.3V and I connect the CH_PD pin to 3.3V aswell, the blue led flashes 2-3 times and then the ESP8266 turns off.
I hope someone is able to help me
You have a level shifter, not a voltage regulator. That's fine for switching logic levels of different voltages, but it cannot supply a regulated reduced voltage from one side to the other.
All it does is allow one voltage to switch another on and off in a bi-directional manner.
And those voltages have to come from somewhere for it to switch. You are already giving it the 5V from the Arduino, but you're not giving it the 3.3V for it to switch from anywhere - and so there is no 3.3V - not for the level shifter, nor for the ESP8266.
You need to find some way of getting 3.3V with enough current to power the ESP8266 side of the circuit.
You need to supply power to the ESP to make it turn on. What you have done at the moment is got the ESP to supply 3.3V to the level shifter, which you need to do.
You need to supply 3.3V to the ESP from somewhere other than the Arduino, it doesn't have the current necessary.
