Steve's car is the correct option. If there is a fellow whose name is Steves then it would be Steves's car, being both options correct, but not Steves' car, unless if you're talking about two or more fellows called Steves that owns a car. In this case, Steves' cars would be correct as well. Note that car now is a plural name.
Steves doesn't exist as a male name, it was quoted only for a better explanation.
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