What to do with crank case hose with air pods installed?

Well hello, I am a brand new member but have owned my bike for 5 years, and have been very slowly re jetting it and getting it to run nice again.

I have a 79 KZ650B, it has 4-1 exhaust and the infamous filter pods rather than the air box.. so I'm wondering what to do with the crank hose? Right now I have a longer hose running it down under the bike.. I'm wondering if this is alright or can I do something different?

That is fine. Some guys connect the hose to a catch can, but if your engine's blowby is not really oily, then I would leave it as is.
I have also heard of running the hose to the drive chain to provide extra automatic oiling.

Or put a breather filter on it.

Run the breather hose up towards the bottom of the fuel tank as high as you can before ending in a breather filter, catch tank or just open to the air.
This allows oil mist droplets to fall out of the pumped air before reaching the end of the hose , encouraging it to drain back into the case and reducing the chance of oily residue getting on to external parts of the bike.