Can adjusting your chain affect the suspension?

In short, yes. When the suspension is compressed to about one third, the front sprocket, swingarm pivot and rear spindle form a straight line.

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This is the tightest the chain gets. At this point there should be about 10mm freeplay in the chain half way along its lower run.

If the chain is too tight the suspension cannot work freely.

But this is of little consequence anyway as you are going to be off the road shortly with knackered front sprocket and wheel bearings.