Notice that $f(0) = 1$ (since $0 < 1 + 0$). Further, $ f(-x) = \frac{1}{f(x)}$ for all $x > -1$.
Thus, for all $1 > x > -1,$ $$ \frac{1}{1+x} \ge \frac{1}{f(x)} = f(-x) \ge 1-x. $$ By squeezing, we conclude that $\lim_{x \to 0} f(x) = 1 = f(0).$
But then $$ \lim_{x \to y} f(x) = \lim_{\delta \to 0} f(y + \delta) = f(y) \lim_{\delta \to 0} f(\delta) = f(y),$$ and the function is consequently continuous everywhere. Now we can use the usual argument with continuity to conclude that the function is of the form $b^x$ for some $b > 0$.
Further, by using the bounds on $f(x)$ in the above, we can show that $\lim_{x \to 0} \frac{f(x) - 1}{x} = 1$ (this is easiest with some casework - if $1 > x > 0$ then $1 \le (f(x) - 1)/x \le 1/({1-x})$. If $-1 < x \le 0,$ the inequalities are reversed. In either case squeezing leads to the limit $1$). But the derivative of $b^x$ at $0$ is $\ln b$, which is equal to $1$ iff $b = e.$