In this paper, we study edit distance (ED) and longest common subsequence (LCS) in the asymmetric streaming model, introduced by Saks and Seshadhri [SS13]. As an intermediate model between the random access model and the streaming model, this model allows one to have streaming access to one string and random access to the other string. Our first main contribution is a systematic study of space lower bounds for ED and LCS in the asymmetric streaming model. Previously, there are no explicitly stated results in this context, although some lower bounds about LCS can be inferred from the lower bounds for longest increasing subsequence (LIS) in [SW07][GG10][EJ08]. Yet these bounds only work for large alphabet size. In this paper, we develop several new techniques to handle ED in general and LCS for small alphabet size, thus establishing strong lower bounds for both problems. In particular, our lower bound for ED provides an exponential separation between edit distance and Hamming distance in the asymmetric streaming model. Our lower bounds also extend to LIS and longest non-decreasing sequence (LNS) in the standard streaming model. Together with previous results, our bounds provide an almost complete picture for these two problems. As our second main contribution, we give improved algorithms for ED and LCS in the asymmetric streaming model. For ED, we improve the space complexity of the constant factor approximation algorithms in [FHRS20][CJLZ20] from $\tilde{O}(\frac{n^δ}δ)$ to $O(\frac{d^δ}δ\;\mathsf{polylog}(n))$, where $n$ is the length of each string and $d$ is the edit distance between the two strings. For LCS, we give the first $1/2+ε$ approximation algorithm with space $n^δ$ for any constant $δ>0$, over a binary alphabet.