HBD has been trading significantly above $1 since mid-March now.
The problem of HBD lacking an upside peg
Since Hive is a fork of Steem, Hive inherited the lack of an upside peg for HBD from Steem. SBD has seems to have fallen victim of a pump and dump scheme for the second time. The first time this occurred was in November 2017 when SBD jumped to a whopping $14 before coming back closer to Earth. Since, SBD is now priced at $10.39, history seems to be repeating itself.
HBD has not been allowed to moon. @hbdstabilizer is keeping it closer to the value where it should be, which is $1. HBD is now priced at $2.07. What @hbdstabilizer does is use the DAO to dump HBD to the markets and buy HIVE with it translating the extra demand created from the pump into demand for HIVE.
This type of makeshift solutions will not do in the long-term. What is needed is something that will solve the issue once and for all.
Reverse conversion will solve the problem
Consider how the conversion function works on Hive. Suppose you have some HBD and that HBD has been trading persistently below $1. What you can do is initiate a process called conversion on the Hive wallet that takes your HBD and prints exactly $1 worth of HIVE to be sent to your wallet with the price information based on the average during the conversion, which takes 3.5 days. The delay exist to prevent users from abusing the system.
What a reverse conversion would do is turn liquid HIVE into a number of HBD valid under the assumption that HBD = $1. For instance, if you have 10 HIVE and the price of HIVE is $1, you get 10 HBD from a reverse conversion. This would be to your advantage if the market price of HBD were, say, $2. If you traded your HIVE for HBD on the internal market or on an exchange, you'd get only half as many HBD, which in this case would be 5 HBD.
Since you've now got 10 HBD from the conversion process, you can take them to the internal market or external market on an exchange and trade them for 20 HIVE because they each have a market value of 2 HIVE.
If the price of HBD is still at $2 on the markets you can go and convert all your newly minted 20 HIVE into 20 HBD (not 10 HBD you'd get by trading them). Then you trade them for 40 HIVE. Rinse and repeat.
As you can see, the reverse conversion functionality has the ability to quickly flood the market with HBD and crash the price back to $1. If someone tries to pump it, they will lose their money fast.
Conclusion
I'm hoping that the Hive core developers are able to launch the next hard fork where the reverse conversion feature will be introduced ready in the next few months at the latest. Seeing HBD work as intended would be very cool indeed!