This a good question. How to make the structure of a piece of WL code, in a notebook, easier to understand? I dont know how to do this "automatically". But it can be done manually. By rewriting the code in a Code cell (as opposed to to the standard Input cell) and inserting linebreaks and indentations.

The example below is from the Manipulate documentation

Copied from docs to an Input cell:

Manipulate[
 ArrayPlot[
  Take[data, h, w]], {{data, RandomInteger[{0, 1}, {10, 20}]}, 
  ControlType -> None}, {{h, 5}, 1, 10, 1}, {{w, 5}, 1, 20, 1}, 
 Dynamic[Panel[
   Grid[Outer[Checkbox[Dynamic[data[[#1, #2]]], {0, 1}] &, Range[h], 
     Range[w]]]]]]

Copied to a Code cell and edited:

Manipulate[
  ArrayPlot[
    Take[data,h,w]
  ],
  {{data,RandomInteger[{0,1},{10,20}]},ControlType->None},
  {{h,5},1,10,1},
  {{w,5},1,20,1},
  Dynamic[
    Panel[
      Grid[
        Outer[
          Checkbox[
            Dynamic[data[[#1,#2]]],
            {0,1}
          ]&,
          Range[h],Range[w]
        ]
      ]
    ]
  ]
]

Hello, Blu. The best way to learn to read Wolfram Language code is to read and write much code. Stephen Wolfram's "An Elementary Introduction to the Wolfram Language" provides an excellent set of examples. There are exercises at the end of each chapter. There is a whole interactive course designed around the text of this book. You can access the free course here. After each chapter, there are a set of exercises to do that can be automatically graded. If you don't get an exercise right, you can re-submit your answer multiple times. As you complete a group of chapters, there are quizzes on that group of topic. If you go through all the exercises and quizzes in this courses, your skills to read and write Wolfram Language code will be markedly improved.

There are also a variety of courses available at Wolfram U . I think starting with the introduction interactive course is the best way to start. Good luck.