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I am worried you may be running into encode contention issues, but, it would be good to see either way to help diagnose.
The other thing I have as well is when moving the mouse around the cursor is responsive but anything it moves over to highlight on screen is sluggish to respond to, same with mouse clicks and scrolling with the scroll wheel.
This is the exact same problem I'm having. It also seems like moving the mouse makes the black screen blinks happen more than if I don't move the mouse.
And the debug graph also disapear after the first black "blink".
(I still get heavy dropping when the "boot screen" is being displayed when first connecting the Steam Link, but that's probably a seperate issue)
Tried these settings cause I'm also running an NVIDIA card but sadly it did not work to me. Mouse delay is still there and the blinking black screen is still happening.
Also more information in my thread https://steamcommunity.com/app/353380/discussions/0/4330852965817741649/