Follow what the guy does in the video.
The 360 version of the game makes it so easy, because you can save whenever you want. A good point to save is after making it up them 2 blocks that keep rising & falling. With the section where the guy jumps up on is very tricky and frustrating, it will take a few attempts. The part you should try & jump is when the loop crosses over at the end when sonic is hidden behind it. By the way he jumps on the 3rd loop i got confused thinking it was the 4th and spent like 10 minutes trying to jump up the wrong section :-/http://youtube.com/watch?v=A_ZdV-EGLpk