I use an old commercial program called CDBoot. What it does is add a few lines to your startup-sequence to mount CD0 and then boot from CD0:s/startup-sequence. It also tries to emulate a CD32 as best as possible by disabling Fast RAM, CPU caches, etc.
If you can find a copy, it'll do exactly what you need it to. If you can't find it, there *might* be a similar shareware program on Aminet; I can't quite remember though.
A possible manual alternative:
Get to the Emergency Startup Control menu. Disable CPU caches. Boot without a startup-sequence
1> Assign ENV: RAM:
1> Mount CD0: from DEVS:DOSDrivers/CD0
1> Execute CD0:s/startup-sequence
You might also need to manually reassign libs:, c:, l:, etc to the CD. You might be able to make a simple boot floppy that does all this, too.