The 23-year-old central midfielder joined the
Mariners in 2012, scoring three goals in 62 appearances.
Mariners head coach Tony Walmsley said: "When I brought Caceres to the Mariners his potential was obvious. The move demonstrates how far he has progressed.
"We need to celebrate when players are sold to bigger clubs."
The Australian becomes City's first signing of the January transfer window.
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