* is a dereference operator & is a reference operator. They can be applied any number of times provided it is meaningful. Here p points to the first character in the string "Hello". *p dereferences it and so its value is H. Again & references it to an address and * dereferences it to the value H.
p is pointing to character '\n'. str1 is pointing to character 'a' ++*p. "p is pointing to '\n' and that is incremented by one." the ASCII value of '\n' is 10, which is then incremented to 11. The value of ++*p is 11. ++*str1, str1 is pointing to 'a' that is incremented by 1 and it becomes 'b'. ASCII value of 'b' is 98.