The custard sets before it boils
Egg diluted with dashi sets at about 80C. That is well below boiling. So there is a window between set and boil.
Above the window, water turns to steam
Chawanmushi is mostly water. Above about 90C, that water starts to boil. Tiny steam bubbles form inside the soft custard. The egg sets around them and locks them in.
Holes also cost you juice
Each hole pushes dashi out. The custard turns spongy and weeps liquid. The smooth texture is gone for good.
Three ways to stay in the window
Use the lowest heat. Leave a small gap under the lid. Keep the cups off the direct boil of the water.
I tilt one cup after 12 minutes. If the center wobbles like jelly, it needs a little more.