Is the Present or Present Habitual? It is translated into Present Continuous in English which is not Present Habitual.
This page calls this form the present progressive, and describes it as being used colloquially in Irish as a simple present. This Irish sentence isn’t present habitual because bí has a separate present habitual form (all other Irish verbs have common simple present and present habitual forms).
'Ye' is a colloquialism. Standard English makes no distinction between singular and plural in the second person. 'You' is used for both.