Heat olive oil in the Instant Pot on the hottest sauté setting. Add pancetta until fat is rendered, about 5 minutes
Add ground beef and ground pork and tomato paste until browned.
With a slotted spoon, remove meat from instant pot and set aside in a bowl.
Still on the high sautee setting, add 1 tbsp butter until melted. Toss in onions, celery, and garlic. Cook until onions are soft, 8-10 minutes
Deglaze by adding a splash of red wine, scraping the brown bits off of the bottom of the pot and then pour in the rest of the wine. Add meat mixture, bay leaves, and beef stock.
Place lid on Instant pot, seal, and set the unit to HIGH pressure for 20 minutes.
Use the quick release valve to expel all of the steam. Uncover pot and switch the Instant Pot to the lowest heat sauté setting and bring to a bubble. Simmer, uncovered, for 10-15 minutes, stirring often, until sauce is desired consistency.
Turn off heat. Stir in fresh parsley, heavy cream and ground nutmeg. Season to taste with salt and pepper.