Pour spaghetti sauce into a large bowl. Add crushed tomatoes to bowl. Stir in Italian seasoning, garlic powder, onion powder, salt, pepper and sugar and mix to combine. Set this mixture aside.
Add the olive oil to your instant pot and set the function to saute. Break up the ground beef and add it to the oil. As it browns, use a hard spatula or wooden spoon to stir and break up the meat so that you don’t have any large chunks. Cook the beef completely through. Turn off the saute function. Drain excess fat from the pot. Make sure that you scrape the bottom of the instant pot well with the wooden spoon. We don’t want any bits stuck there when we pressure cook later.
Pour 2 cups of water over the cooked ground beef.
Break handfuls of the spaghetti in half and place it on top of the water. Criss-cross and spread out the handfuls so that the spaghetti is not in a big clump.
Pour the spaghetti sauce mixture over the noodles until they are completely covered. Make sure there is liquid above and below the spaghetti to help it cook evenly. Press the spaghetti down a little under the sauce if there is still some uncovered after adding the sauce. Do not stir. The sugar from the sauce needs to stay above the bottom of the pot while cooking, otherwise it will crystallize and begin to burn.
Seal the pressure cooker and set the time for 8 minutes on high pressure. When the cook time is done, use the quick release. When the pressure is released, give the spaghetti a thorough stir to mix together all the ingredients. Leave the lid off and allow it to sit for a few minutes before serving so the sauce can thicken. Garnish with parmesan cheese if desired, and serve.