This study aims to analyse and distinguish the healing and transformative potential of lucid dreaming for overcoming depression. It applied Smith and Osborn’s (2007) interpretive phenomenological analysis (IPA) as a qualitative research method. IPA is a particularly useful methodology for examining complex accounts of an individual’s personal perceptions and complex topics which are emotionally laden. Semi-structured interviews were carried out with 12 participants, all of whom have a high frequency of lucid dreams. Data analysis was conducted on six of the twelve participants and a table of relevant and overlapping themes and connections between cases was constructed. The superordinate themes identified were self-exploration; creativity; empowerment; & spiritual and transpersonal. Overall, findings suggest that lucid dreaming is a powerful transpersonal modality which fosters healing, transformation, and the potential to mitigate depression.