You need to lower the Levels Viewport value in the Multi Res modifier settings.
When you bake a Normal map from the Multi Res modifier, the Viewport levels are basically your low-poly mesh while the Render levels define your high-poly mesh. The baked normal map is the difference of both levels.
When you select Levels Viewport = 0 and Render = 4 for example, it should do the trick.
(I have no idea what the □ Bake from Multires checkbox in the Cycles > Bake settings exactly does. You don't need to check it but you can. If you don't activate it then just select Normal for Bake Type.
When it's checked it also requires a lower viewport level to work. It seems it automatically selects Normal for the Bake Type, and hides a few other settings such as the Influence and the Active to Selected sections. The bake process also seems to be a bit faster and the result differs slightly.
The documentation says only:
Bake from Multires - Bake directly from multires object.)