UPDATE:
Alright so, I put everything back together and after I started the car a crazy amount of white smoke came out the tailpipe, and the Uppipe was smoking a little. After taking a closer look, I saw that the smoke was coming from the flange were the UP connects to manifold... then I saw some oil drips. Immediately my heart sank. I inspected everything around the turbo and valve cover and it was all dry. My conclusion was that it was the turbo leaking internally. I reached out to a friend who is a good mechanic and has experience with performance cars. Told me to drive it around the block and see if the oil drip increased. To my surprise the oil drip decreased and after I left the car running for a few minutes it stopped smoking and dipping completely....The turbo had no play at all, everything was installed accordingly, no visible leaks...I did notice that the inside of the uppipe was covered in oil( I bought it used). My question is, could it be the oil inside the uppipe that was just burning off and turning into a drip since it got hot when the car started running? I also checked my coolant and oil levels, before and after running the car and levels didn't change. Anyone have this issue? If the smoking stops and no drip is found from here on, is it a good idea to assume that the issue is resolved? Is the scenario that I described even possible?
So for the good news, I only have to put in the fuel pump and I'm ready for a tune. (If the turbo is ok that is...)