From Greer184:

SBD is bottom-pegged from underneath to $1. This is because the blockchain allows you to trade 1 SBD for $1 worth of STEEM. This is essentially the peg that is currently on the blockchain. SBDs are essentially IOUs for $1 worth of STEEM. They have no real purpose otherwise, but can be used as a speculative asset which is why it is more than $1 now.

The production of SBD is tied to the STEEM token. For every STEEM token created (under the 50/50 option), SBDs are created with relationship to STEEM's price. If STEEM is $1, then 1 SBD is created for every STEEM awarded. If STEEM is $10, then 10 SBD are created for each STEEM. If STEEM is $100, then 100 SBD are created for each STEEM. As the price of STEEM goes up, the number of SBDs produced goes up.

This means the total supply of SBDs will blow up if the price of STEEM blows up. Thus, if you believe in $100 STEEM, you should have little faith in a high SBD as the inflation rate of SBD will increase as STEEM increases. The supply of SBDs will increase as long as the price is above $1, since no one will trade them in because they can only be traded in to blockchain for $1. That's in the code.

The reason SBDs are above $1 is that no one really understands SBDs and they speculate on them. The probability of SBDs rising to triple digits is so small that it is irresponsible to make such statements as it confuses new users and demonstrates a lack of understanding in the fundamentals.

That being said, STEEM might never go above $10 and SBD might never return to $1 because of its general scarcity and irrational speculation. But there is a "free market" downward pressure that is build into the token that most people never really understand because they don't research the tokens, but look at charts instead.

So, I try to keep my exposure to SBDs lower and trade them during spikes in the prize. But I wouldn't hold a bunch hoping for $100 SBD because it is probabilistically not going to happen. Even borderline bullish delusion will have trouble pushing the SBD past $20. Because the token's only utility is that it can be traded in the future for $1.