The LCD model was the first on the market, before the OLED version was released. One of the reasons for the production shutdown was the increase in memory prices, which reduced the margin on the cheaper option. Recent Black Friday discounts helped sell off the remaining stock.
After the LCD model leaves the market, the Steam Deck OLED with 512 GB of memory becomes the new "base" version with a suggested price of $549 instead of $399 for the LCD in the US. Prices are likely to remain at current levels, although they may increase.
The new strategy makes the console more modern, but less budget-friendly.