Select sauté on the instant pot and adjust to normal.
Add oil to the pot.
In about 30 seconds, add the bay leaf, crushed cloves, black cardamoms, cinnamon stick, and asafoetida. Stir.
In about 30 seconds, add the chopped chicken.
Sauté for about 4 to 5 minutes to eliminate the pink color. Keep stirring
Then add the red chili powder (ground cayenne pepper) and Kashmiri chili powder with water. Stir and let the chicken absorb some red color for about 2 minutes.
Then add, fennel, ginger, cumin, salt, and stir well.
Then add the yogurt slowly one spoon at a time and keep stirring well in order to prevent curdling.
Then after about a minute, add the potatoes and stir and scrape off the sides and bottom to make sure nothing is stuck on the sides or bottom.
Secure the lid on the pot and close the pressure-release valve.
Select manual and cook at high pressure for 8 minutes.
When cooking is complete, use quick release to depressurize. Open the lid. If you want to reduce the gravy, select sauté and reduce the gravy. It shouldn't take more than a minute or two.
Transfer to a bowl immediately to prevent burning or the gravy from drying up. Discard the bay leaf.