ESXi and ESX both now require 64-bit hardware in order to run. If you're trying to run ESXi on 32-bit hardware it more than likely will not work. If the underlying hardware is 64-bit then you should be able to install it and run either 32-bit or 64-bit virtual machines.
You can definitely upgrade to vCenter 4 and still manage your ESX 3.x hosts, but you won't get any of the advanced functionality without an ESXi 4 host and the proper license.
Matt | http://www.thelowercasew.com | @mattliebowitz