Cue 1: Group cue set to "Start first child and go to next cue"
Cue 2: Video w opacity @ 0%
Cue 3: Fade cue with opacity @ 100%
Cue 4: Copy of your original video w opacity @ 0%
Cue 5: Fade cue to with opacity @ 100%
Cue 6: Start cue to restart the first video.
Cue 7: Fade out the Video Loop (This targets the Group cue with the option "Stop target when done" activated) That way which ever video is playing will be faded out.
Than it's all a question of timings and auto-continue so have a look at what I've set to Auto-Continue and how I've set the post waits.
Hope this helps.
Split, flip, fade