if the top is sealed then it's truly really simple physics...go get a coffee cup, fill it with water to the brim...put a piece of plastic over it, flip the cup over, take off the plastic and the water will stay in the cup!
I don't think the top is covered though because it looks like water is splashing into it aka air and if air was being introduced to a airtight chamber, eventualy the water would drain down. for every volume of air introduced into the closed chamber...that same volume of water would go out the bottom.
the only thing I could think of, which might work...would be that the air pressure pushing down on the whole lower section of the tank was enough pressure to push the water up that tall section. but again I think that would need to be sealed.
it's got me!