The only similarities between Alpha and Cataclysm water is they both have kind of the same texture, but cataclysm water is COMPLETELY different in every other way, for a start its using its own physics engine. if u played with it at blizzcon u would notice the water moves according to how ur character is walking through it (a bit like halo 3). it also has random tides and its not a completely straight edge where the water meets the sand, it looks like a real beach.
EDIT: Oh cataclysm water also has reflections of the sky and players n shit