The salary cap is the maximum amount of dollars that you can spend on the players in your lineup. Every team has $100 million available, and you must stay at or under this cap when building your 9-man roster each week.
If a player's value increases after he was added to your team, you will not be responsible for this extra value unless you drop him and claim him again at a later date.
If a player's value decreases, however, you may adjust that player's salary downward by clicking the "Renegotiate" link located just above your roster. This function will allow you to lower that player's salary down to its current market level, enabling you to reclaim the extra cap room.