>>117dreams are fascinating. when i was looking into lucid dreaming, i read about "reality checks" as a method of inciting lucidity. basically, actively asking yourself if you're dreaming, while observing something sensory. i definitely didn't do these reality checks often enough, but when i am in the dreams, there is nothing keeping me from questioning what i am seeing, no matter how ridiculous or crazy. i might go insane in the dream or have a complete mental breakdown, but it feels like reality.
to answer your question, i'm not sure how to articulate the difference between dreams and reality. both are perceived through the same vessel: our brain. all of our senses report to the brain, and they determine our perception of the world. when i took psychedelics for the first time, my view of what it is to be "awake" or "in reality" was altered drastically due to feeling like an alien among normal people. the feeling of knowing that i'm seeing something completely different than what their sober minds are perceiving; i was really affected by this thought. when i think about how real a dream felt, i reflect on those past perspective-changing experiences. i also try and interpret the dream through events that occurred on the previous day, trying to figure out what could have subconsciously infiltrated my thoughts to trigger events in the dream.