org-cycle-include-plain-lists

org-cycle-include-plain-lists is a variable defined in `org-list.el'.
Its value is

t

Documentation:
When t, make TAB cycle visibility on plain list items.
Cycling plain lists works only when the cursor is on a plain list
item. When the cursor is on an outline heading, plain lists are
treated as text. This is the most stable way of handling this,
which is why it is the default.

When this is the symbol `integrate', then integrate plain list
items when cycling, as if they were children of outline headings.

This setting can lead to strange effects when switching visibility
to `children', because the first "child" in a subtree decides
what children should be listed. If that first "child" is a
plain list item with an implied large level number, all true
children and grand children of the outline heading will be
exposed in a children' view.

You can customize this variable.