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Combine the macaroni, water and salt in a 6- or 8-quart Instant Pot® multi-cooker (see Cook's Note). Follow the manufacturer's guide for locking the lid and preparing to cook. Set to pressure cook on high for 4 minutes.
After the pressure cook cycle is complete follow the manufacturer's guide for quick release and wait until the cycle is complete. Being careful of any remaining steam, unlock and remove the lid and switch to the low saute setting.
Stir in the evaporated milk, butter and water. **Check how pasta drained before adding water, it may not be needed. ** Then add the Cheddar, a little at time, while constantly stirring, until the cheese is completely melted. Serve hot.