Certified GKH Gardening Expert
The cup is hidden, slightly, when the red flower comes out. After that dies, you may cut the flower part out, as it will regrow another shoot from the bottom of the plant, similar to its cousin: The Pineapple! When you see this new shoot, it will look like it has a hole in the center where the leaves come up. This is, essentially, its "watering cup". In nature, it relies on this part of the plant to catch water, as it usually grows in tree canopies. Here is an article for more information: https://www.gardeningknowhow.com/houseplants/bromeliad/watering-bromeliads.htm