Press Sauté on the Instant Pot. Add ghee or oil and let it heat for 30 seconds.
Add cumin seeds and dried red chilies. Let the cumin sizzle for 30 seconds — you will hear a gentle pop.
Add asafoetida, then the diced onions. Cook for 3-4 minutes, stirring occasionally, until softened and translucent.
Add ginger-garlic paste and green chili. Stir and cook for 1 minute until the raw smell cooks off.
Add chopped tomatoes, turmeric, coriander powder, red chili powder, and salt. Stir and cook for 2-3 minutes until the tomatoes start to break down.
Add the rinsed masoor dal and 3 cups water. Stir to combine and scrape up any bits from the bottom to prevent a burn notice.
Press Cancel. Secure the lid and set the valve to Sealing. Cook on Manual / High Pressure for 5 minutes.
Allow natural pressure release for 5 minutes, then carefully quick-release any remaining pressure.
Open the lid and stir. The dal should be completely soft and soupy. For a brothier consistency, stir in an additional 1/2 cup of hot water.
Blend everything using hand blender.
Squeeze in lemon juice and stir.
For the tadka: heat 1 tsp ghee or oil in a small pan over medium-high heat. Add a pinch of Kashmiri chili powder and a dried red chili. It will sizzle immediately — pour it directly over the soup.
Garnish with cilantro and serve hot with a lemon wedge on the side.