This was crocheted in squares and stitched together. The pattern was adapted from a cross stitch pattern in to pixel squares for easier color work. One of these days I need to tackle an ambitious knit project like this!
Check out this simple step-by-step photo tutorial for adding a cross-stitch design to Tunisian crochet fabric. You'll learn the basics of cross stitching and how/where the stitches sit on Tunisian crochet!