Betcha can’t figure how I did this!!
low quality avi, I rendered it in PovRay then spent all night trying to get all those .tga’s into a nice avi. Took a bit and I converted them alot, so the qual went down accordingly.
P.S.
Sorry for the excitement, but I finally found a trick all on my own! hehe. 
My guess…and a guess only it is…is that the red thing you got bouncing around, is parented to a deforming lattice. Just a guess though.
Haha, yeah. Have a lattice made up like a train track across the chalices. It’s great because you can fine tune his movements so well. Like giving him ‘hang time’ etc, just by tweaking the lattice.
Guess it’s not that hard to figure, but it’s pretty neat still )