The Dutch international has been widely tipped to leave Inter Milan over the next couple of weeks following a dispute over a contract extension at the San Siro.
That news is said to have alerted a number of clubs, including Manchester United and Anzhi Makhachkala.
However, Gerrard is hoping that should the deal prove to be financially viable, Liverpool can beat off their rivals to land the 28-year-old.
"He'll do. He's a top player, I think we've seen it at every major tournament he delivers," Gerrard told Goals on Sunday. "He's done it in the Champions League for years. We'll have to see on his wage demands, he gets paid very well and he'll have all kinds of options I'm sure but I'd love nothing better than to see him in a red shirt."
As well as Inter, Sneijder has previously played for Ajax and Real Madrid.