With Danish oil you saturate the wood (I use a rag) and let it set for 5 min and then wipe away excess with a dry rag. I usually only do two coats because I like the wood to feel like wood. And if I'm only doing two coats I will generally only wait 5 - 10 min for the first coat to dry before saturating the wood for the second coat.

If you're going for that more plasticky finish then I would wait for at least an hour of drying between coats. Then right before you apply the last coat of Danish oil you can hit it (very lightly) with some 180+ grit sandpaper on a random orbit sander. Then just make sure to wipe your sanding dust off before saturating the wood with the final coat. This will give you a Supa-Smooth finish that will have everyone at the table rubbing it like weirdos.