Here's a guy who made a 4-bit adder through water[0]. Creating a computer through water seems to be really doable. I'd be interested to watch more stuffs like this.
[0] - http://www.blikstein.com/paulo/projects/project_water.html
[0] - http://www.blikstein.com/paulo/projects/project_water.html
I believe it was abandoned because solid state ICs grew way too quickly and outpaced the ability of the liquid ICs to keep up.