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The fees alone would cost Valve more than $1.
No its not because banking fees would eat most of that 1 dollar up and there would be little left for the developer of the game and none for Valve which they kind of need something to help run their store. Pretty sure 5 dollars is pretty much the minimum to give them some profit over and above the banking fees.
A long time ago there was a way to add less but that has been fixed.
Every transaction/money transfer from a payment method (debit/credit card, paypal) costs steam/valve a transaction fee. This is why minimum you can add to wallet is 5$.