There are a few studies which indicate that the CAE virus may also be able to infect other types of cells. However, since the expression of virus proteins in these cases is restricted and the number of cells infected is very low this is probably not a common source of CAE infection.
The animation below shows the steps of binding of the Human Immunodeficiency Virus (HIV) to the cell surface protein. HIV, also a lentivirus, is similar to the CAE virus. While the exact details of receptor binding in CAEV is not known it probably employs a similar strategy as HIV. Once the receptor binds to the first protein, this causes the SU portion of the envelope protein to go through a structural change, revealing another site that can bind to a second cell receptor. This brings the membrane of the virus even closer to the cell surface. Note that the second receptor site on the virus protein is hidden until it is needed in the binding process. This is one way that the virus is able to evade the immune response.

Fusion of the membranes of the virus and host cell allow the the capsid to enter the cell. The capsid undergoes a structural change which partially opens it up. This allows access to required cell components. The capsid is now called a preintegration complex or PIC.
Inside the PIC reverse transcriptase converts the single strand of RNA into double-strand complementary DNA (cDNA). This is a complex, error prone process which leaves mutations in the newly created DNA. This is the reason that there are many variant forms of the CAE retrovirus.
The PIC migrates to the nucleus of the cell carrying the cDNA and another of the proteins the virus brought along called integrase. cDNA and integrase is inserted into the nucleus through a nuclear pore.Integrase clips off a base pair at the end of the viral cDNA, cuts open the strands of host DNA, then binds the ends of the viral DNA into the host DNA. Repair proteins supplied by the cell come along and clean up the loose ends.
The genome of the CAE virus is now a permanent part of the goat's monocyte/macrophage DNA. At this stage it's called a provirus.
The proviral DNA is transcribed into RNA which is transferred from the nucleus to the cytoplasm.
Viral RNA is either used as a template to make viral proteins with the help of cell machinery or is packaged into the newly made viral capsid. Viral mRNA is transcribed into envelope protein which is transferred to the cell membrane. Capsid proteins, reverse transcriptase, integrase, protease and a few other proteins are also created from transcription of RNA.
Finally, two copies of RNA plus proteins are packaged into the newly created capsid and the capsid buds out from the cell through the modified membrane. The membrane of the virus came from the cell so this is why the CAE retrovirus is called an enveloped virus.
The new, free virus must go through a maturation period before it can become infective which among other things prevents it from immediately reinfecting the cell that produced it.

Next: the immune system and viruses