Is it possible to put a category within the links on a page. I host a music site and here is what I'm trying to do as an example

Top Category is 'Folk' with a link to Beth Orton

I would like to create sub categories under Beth Orton

Beth Orton/Bio
Beth Orton/Trailer Park

I'm familiar with adding subcategories, however I don't want them to above all of my other links. I want it to appear as a regular link on the page, then when clicked, goes into the sub category. Does this make sense?