I’d say Forest have more potential than Palace so don’t see it as a sideways move (I’ll avoid the ‘bigger’ club debate so not to awaken MLG). But the Forst owner is probably more volatile to work for so good luck with that!
Like you I thought he’d go somewhere else but a lot of the ‘bigger’ and more prestigious jobs he was linked to ( Chelsea, Man Utd, AC Milan) have gone elsewhere.