It's "liquid water" in the same sense that the molton rock inside the earth is "liquid rock".

Here when we see water outside of it's natural state (liquid) it's frozen or evaporated. Out there ice (solid) is the natural state, so it's molten or (vaporized ???).

If it's subterranean, it's probably not vaporized. Thank the pressure.

Oh, definitely. I was (poorly?) highlighting that molten/frozen/vaporized/etc are used relative to the normal state for a substance at "local" temperature.