Coal is an important support for the development of the national economy. Lignite has high utilization value. This paper utilizes a dry dense medium fluidized bed for separation of low rank high sulfur lignite across the size range of 6–0 mm. The study focuses on the spatial diffusion and transfer characteristics of material moisture in the fluidized bed, systematically analyzes the influence of material moisture on the bed fluidization characteristics and the bed density spatial uniform stability, explores the diffusion and separation characteristics of the material in the bed, and determines the material separation time domain. The experimental results indicate that when t = 60 s, the high concentration area of the whole bed is distributed in the center, and the low concentration area is distributed in the side wall At when t = 360 s, the high concentration area of the upper bed is distributed near the side wall, and the high concentration area of the middle and lower layers are distributed in the center of the bed. At t = 420 s, the high concentration area in the upper layer gradually disappears, and the separation of high and low-density particles is completed in the middle layer, achieving stratification. When the bed layer moisture content is 0.5 % and the air flow is 16.3 cm/s, the bed pressure drop tends to stabilize, and the bed fluidization effect is better, reaching its peak moisture content. The fluctuation in bed layer spatial density distribution is significant, especially in the central area of the upper layer (within the circular area 0 ≤ R ≤ 3 cm), where the density distribution fluctuation is most pronounced, with an average density of 1.67 g/cm3. The fluctuation amplitude of the middle bed density is relatively low, with an average density of 1.65 g/cm3. The fluctuation amplitude of the lower bed density is the smallest, with an average density of 1.53 g/cm3. When t = 0–120 s, the ash content of each layer along the bed height is close to the raw coal, which belongs to the material diffusion distribution time domain. When t = 120–240 s, the material is stratified locally, which belongs to the material initial stratification time domain. When t = 240–420 s, the high and low density particles achieve orderly stratification, which belongs to the material sorting time domain The results show that the clean coal yield was 74.68 %, sulfur content is 0.98 %, ash content is 9.96 %, gangue yield is 25.32 %, sulfur content is 18.69 %, ash content is 58.32 %, Ep is 0.65 g/cm3. The high-precision dry separation of fine grained low rank high sulfur lignite was realized.