Consider a hyperbola given by the equation $x^2-y^2=1$. I want to find its image under the inversion $f(z)=\frac{1}{z}$. Can I use this as the following argument?
First, I can observe if $z=re^{i\theta}$, then $f(z)=\frac{1}{r}e^{-i\theta}$. Then, I can observe that $x^2-y^2=1$ can be written in terms of polar coordinates as $r^2\cos(2\theta)=1$. So, as every point $(r,\theta)$ maps to $(\frac{1}{r},-\theta)$, then the equation $r^2\cos(2\theta)=1$ will become $$(\frac{1}{r})^2\cos(2(-\theta))=1$$ which gives us $$r^2=cos(2\theta)$$ i.e. the graph of lemniscate.

Let $w=u+iv=\frac{1}{z}$, $z=x+iy \implies u+iv=\frac{\bar z}{z \bar z} \implies u=x/(x^2+y^2), v=-y/(x^2+y^2)~~~~(1)$ $$x^2-y^2=1=Re[z^2]=Re[\frac{1}{w^2}]=1 \implies Re[\frac{\bar w^2}{(\bar w w)^2}]=\frac{u^2-v^2}{(u^2+v^2)^2}=1~~~~(2)$$
So the image of $x^2-y^2=1$ under inversion $(w=1/z)$ is the curve $u^2-v^2=(u^2+v^2)^2$, which can be finally written as $$x^2-y^2=(x^2+y^2)^2.$$