The falcon is a bit flaky by nature. Actually, the solderwork really SUCK. I resoldered my entire motherboard before installing my CT2.
Try removing the memory module and the tos roms. Remove oxide from the roms by rubbing it against a piece of paper or rubber.
Magic as never worked on my Falcon. But MiNT / MultiTOS works without any problems. Try removing all unnecessary autofolder stuff and accessories and install it again.
