The invention provides a traditional Chinese medicine composition for treating osteoproliferation. The traditional Chinese medicine composition is prepared from the following raw materials by weight: fiveleaf gynostemma herb, membrane of hen egg, herba schizonepetae, endothelium corneum gigeriae galli, stem pitch of common rush, herba elsholtziae bodinieri, japanese ardisia stem and leaf, trogopterus dung, herba houttuyniae, Chinese Incarvilla herb, radix ranunculi ternati, herba geranii, resina liquidamberis, herba epimedii, Indian epimeredi herb, hairyvein agrimonia root, cortex pseudolaricis, herba werbenae, cortex mori, argali lung, cortex acanthopanacis, radix morindae officinalis, zaocys dhumnade, semen cuscutae and radix puerariae. The invention also provides a preparation method of the traditional Chinese medicine composition for treating osteoproliferation. The traditional Chinese medicine composition is scientific in formula, all components cooperate with one another, so as to quickly realize medicine efficacy, the composition has the effects of promoting qi circulation and activating blood, removing rheumatism and arthritis, and activating meridians to stop pain, and proved by a lot of experiments, the composition can effectively improve deficiency of liver and kidney, cold-dampness invasion and blockage of meridians of a human body, is obvious for treating osteoproliferation, relieving both primary and secondary symptoms, safe, convenient, and free of toxic and side effect, and contains no western medicine or hormone component.