rotate v. revolve

Rotation and revolution are types of circular motion that are distinguished by the location of the axis relative to the moving body. When the axis passes through the object, it rotates, but when the axis is outside the object, it revolves. Rotation is synonymous with spinning; revolution is synonymous with orbiting. The Earth rotates about its axis, which runs through the North and South Poles; at the same time, it revolves around the Sun.

Wikipedia on rotation