Chalice held up by Capuchins (3)
I believe the answer is:
cup
'chalice' is the definition.
(I've seen this in another clue)
'held up by capuchins' is the wordplay.
'up by' says the letters should be written in reverse.
'held' indicates the answer is hidden within the clue.
'puc' is hidden within 'capuchins'.
'puc' in reverse letter order is 'CUP'.
(Other definitions for cup that I've seen before include "Prize; vessel" , "Trophy, drink" , "'There's many a slip 'twixt ... and lip.'" , "Drinking bowl" , "competition" .)