Turn the Instant Pot onto the sauté setting, then allow it to heat up. Add the bacon then cook it until it crisps up. Remove from the pot then set aside, then hit the cancel button on the Instant Pot.
Add the chicken, cream cheese, water, vinegar, chives, garlic powder, onion powder, crushed red pepper flakes, dill, salt, and pepper.
Manually set the Instant Pot to high pressure for 15 minutes. Once it’s done cooking, perform a quick release.
Take the chicken out then shred with two forks before returning to the pot.
Stir in the cheddar cheese. Sprinkle the bacon and green onions over the top, then serve.