But is "I can listen to English" correct English?
Or should I say "I can hear English"?
Are there better ways to say that?
First up, "I can listen to English" is correct English. But you are trying to say that you can understand English that is said aloud. Just by saying "listen" doesn't necessarily mean that you understand spoken English. I can listen to Greek, but still not understand, because I don't know Greek.
Some better ways to say it are:
I can understand spoken English
I can comprehend spoken English
I can understand English that is spoken.
I can understand English that is said aloud.
Edit:
If understanding is not really necessary, just hearing and being able to listen to the language, you could try:
I can catch the English language most of the time.
I can make out spoken English.
I can take in spoken English