Kelp forests are commonly classified within remote sensing imagery by contrasting the high reflectance in the near-infrared spectral region of kelp canopy floating at the surface with the low reflectance in the same spectral region of water. However, kelp canopy is often submerged below the surface of the water, making it important to understand the effects of kelp submersion on the above-water reflectance of kelp, and the depth to which kelp can be detected, in order to reduce uncertainties around the kelp canopy area when mapping kelp. Here, we characterized changes to the above-water spectra of Nereocystis luetkeana (Bull kelp) as different canopy structures (bulb and blades) were submerged in water from the surface to 100 cm in 10 cm increments, while collecting above-water hyperspectral measurements with a spectroradiometer (325–1075 nm). The hyperspectral data were simulated into the multispectral bandwidths of the WorldView-3 satellite and the Micasense RedEdge-MX unoccupied aerial vehicle sensors and vegetation indices were calculated to compare detection limits of kelp with a focus on differences between red edge and near infrared indices. For kelp on the surface, near-infrared reflectance was higher than red-edge reflectance. Once submerged, the kelp spectra showed two narrow reflectance peaks in the red-edge and near-infrared wavelength ranges, and the red-edge peak was consistently higher than the near-infrared peak. As a result, kelp was detected deeper with vegetation indices calculated with a red-edge band versus those calculated with a near infrared band. Our results show that using red-edge bands increased detection of submerged kelp canopy, which may be beneficial for estimating kelp surface-canopy area and biomass.