A system and method for increasing cache size is provided. Generally, the system contains a storage device having storage blocks therein and a memory. A processor is also provided, which is configured by the memory to perform the steps of: categorizing storage blocks within the storage device as within a first category of storage blocks if the storage blocks that are available to the system for storing data when needed; categorizing storage blocks within the storage device as within a second category of storage blocks if the storage blocks contain application data therein; and categorizing storage blocks within the storage device as within a third category of storage blocks if the storage blocks are storing cached data and are available for storing application data if no first category of storage blocks are available to the system.