are you asking for ranked or unranked?
for ranked it's static, if your mmr is 3.5 then your games are HS, because that's the avg mmr.
for unranked, it's almost the same for a similar skill eqvivalent but only works for non-smurfs
because a 1-2k can get into HS aka think he's actually 3.5k mmr.
p.s if you play solo and you're asking is it the individual or hte game avg. the answer is both, game tries to place similar skill players in the similar bracket/subbracket.
the average mmr of all participating players in the played game
bellow 3.1(ish) is normal, till 3.7(ish) is high and above is very high skill.
Don't focus on mmr, focus on gameplay, because when you get the main things around dota your mmr will improve by itself.
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Does the skill bracket determines the Average MMR of all players? or it determines your own MMR?
Ex. If you're in high skill does the average MMR of all players is 3500 or your MMR is in 3500?