It is unusual to endorse one of the shortest answers on the page, but Axel is to-the-point and, IMO, correct in this case. You don't want to paginate too heavily because that creates more clicks to get to all of your products. In fact, Google even recommends using a View All canonical page if it doesn't affect performance (load time) too much.
The first link anchor is what counts so I respectfully disagree with dittoeffect, unless you were to link to the image on the product page from the image on the category page using a Named Anchor hashtag (could be a good thing to test).
You don't want a bunch of iframes on your category page either. Keep it simple. You run an honest eCommerce site, not an uber-competitive affiliate website where you have to put links into a redirect script that goes through a directory that's blocked in the robots.txt file, etc...
Make the alt text and link text the same unless you are testing the named anchor link idea mentioned above.
And as Alan Gray said, test. These are all just opinions based on experience until you test.