Method and system for dynamic storage tiering using allocate-on-write snapshots

Systems and methods for dynamic storage tiering using snapshot functionality are disclosed. A point-in-time copy of a virtual volume including a storage hot-spot is created; write operations directed to the virtual volume may be redirected to a point-in-time temporary virtual volume. The virtual volume segment, including the hot-spot, is copied from a first storage pool to a second storage pool. Finally, a logical block address mapping of the virtual volume is reconfigured to reference the virtual volume segment copy in the second storage pool. Upon deletion of the point-in-time copy of the virtual volume, the virtual volume segment copy in the second storage pool may be updated with data from the point-in-time temporary virtual volume.