Health experts are predicting a "price war" is looming over expensive hepatitis C drugs taken by many older Americans to treat the virus. Merck announced a list price of $54,000 for a 12-week course of Zepatier — a price significantly lower than two existing drugs.

The newly approved medication (elbasvir/grazoprevir) is far less than the $80,000 price tag for Gilead's Harvoni (ledipasvir/sofosbuvir) and $83,000 for AbbVie's Viekira Pak (ombitasvir/paritaprevir/ritonavir plus dasabuvir), The Street reports.

Last week, the U.S. Food and Drug Administration approved Zepatier — a single, daily pill combining two medicines to treat two different forms of hepatitis C.

"We expect this price — as well as our comprehensive access strategy to seek broad coverage across commercial and public segments -- will help broaden and accelerate patient access to treatment," said Merck spokesperson Pam Eisele.

Gilead's two hepatitis C drugs, Sovaldi and Harvoni, currently dominate the market currently.

The Centers for Disease Control and Prevention recommends help C testing for Americans 60 and older, noting as many as three in four baby boomers may have been exposed to the virus.