I think hyrule hystoria says it’s real, but I definitely agree that the events of the game are heavily centered on links subconscious. But how much is fun to think about. Did getting turned into a deli scrub send him on some sort of psychedelic trip? Did he even get turned into a scrub? Did he really even go on this important quest or is he a craY person wandering around termina freaking people out? Or were most of the events of the game real but his interactions with people and some of the more dark and disturbing points just a result of a skewed interpretation of the events because of links deteriorating mental state? I find the last one to be most interesting, as it makes link still be a hero but also shows how greatly things can be attributed to personal interpretation and how events effect people differently.