The invention discloses a traditional Chinese medicine for treating anxiety, and a preparation method. The traditional Chinese medicine comprises the following active ingredients: rhizoma cyperi, citron, radix bupleuri, radix curcumae, fingered citron, armeniaca mume, gambir plant, centipede, rhizoma atractylodis macrocephalae, Chinese yam, Chinese date, liquorice, acanthopanax, red rhodobryum, buck bean, pedicularis verticillata, semen platycladi, cratoneuron filicinum, lapis fluoris, pimpinelathelungianawolf, Chinese angelica, arillus longan, spina date seed, lily, tortoise shell, rhizoma acori graminei and lotus seed. The traditional Chinese medicine has the benefits that the traditional Chinese medicine has effects of moisturizing, alleviating anxiety, nourishing a heart and soothing nerves, and is mainly used for treating the anxiety and mind confusion; the traditional Chinese medicinal materials with mild odor are selected; the compatibility is precise; treatment based on syndrome differentiation is performed from a whole; the medicine efficacy can directly reach a disease focus; the curing time is short; relapse is difficult after curing; a preparation technology is simple and convenient; toxic and side effects are small; the traditional Chinese medicine is easy to prepare and low in cost; and the taste is suitable for a patient, and is easy to accept.