Place the apple slices into the bottom of your Instant Pot and add in the water. Secure the lid and move the steam release valve to Sealing. Use the Manual or Pressure Cook button to cook at high pressure for 10 minutes. It will take 6 to 10 minutes for the pot to pressurize, so it will simply say ON before the cook cycle starts.
When the cook cycle is complete, allow the pressure to naturally release for 10 minutes. The screen will read LO:10 when the 10 minutes are up, and then you can move the steam release valve to Venting to release any remaining pressure.
When the floating valve in the lid drops, it's safe to remove the lid. Transfer the cooked apples and juices to a blender and blend until smooth. Alternatively, you can use an immersion blender to blend directly in the pot.
Pour the applesauce into a large glass jar and seal it with a lid. Store your Instant Pot applesauce in the fridge for up to 10 days and serve chilled.