Correct.
In today's NFL, these front offices are basically playing a "real" fantasy football game with their rosters. You pay the wrong guy(s), or a slew of injuries, it ruins things in a hurry.
It's not as easy as people think. In Cincy's case, they paid the QB & Chase big bucks. Throw in Higgins now, a significant chunk of the cap is taken up. The trade-off is losing guys like Joe Mixon, a pretty good RB, and the other 50 guys get the leftovers (defense anyone? lol).
While the cap is great in theory, it also kind of penalizes a team who happens to hit on a draft class, as everybody's contract runs out in 4 or 5 years. Look at some of these QBs who got off to rocky starts and teams chose not to keep them around.... some are thriving now (Darnold, Mayfield, Daniel Jones).