Thanks Kirk good suggestion.
I've found that this can be done from the registry as well.
to quote the ESRI technical documentation
The Cache Path can be changed by setting a new string value “Cache Path” at HKCU\Software\ESRI\Desktop10.x\Settings. If the settings key does not exist, it can be added. This key and string value can be created or viewed by opening ArcMap and navigating to Customize > ArcMap Options > Display Cache.