The present application provides a magnetostrictive liquid level meter and a liquid level measurement method thereof and belongs to the technical field of a liquid level meter. The meter comprises a holder; several measurement units configured to be fixed sequentially to the holder along a lengthwise direction of the holder; several waveguide wires configured to be connected with the several measurement units in a one-to-one correspondence mode, wherein each waveguide wire is arranged along the lengthwise direction of the holder, and a tail end of a upper waveguide wire is at least extended to a head end of a lower waveguide wire; and the magnetic float configured to be sheathed outside the holder, wherein the magnetic float moves up and down along the holder when a liquid level is changed, and one or more waveguide wires are located in a magnetic field formed by the magnetic float.