Engine Problems on 88 Accord LXI

So last Thursday I put in a quart of oil and I got a MAJOR flow of white milky smoke coming out of the tail pipe. No smoke from under the hood at all. I immediately thought, "crap water in the oil..." I called my normal mechanic and he said that the engine is likely shot and to move on. I had been having a mysterious minor leak of oil that would drip on the belt and fling oil onto the underside of the hood. Well the car broke down about 50 miles from my house but I talked to a friend down the street who also knows a bit about cars and he was thinking that if we could get it home he would take a look at it. He said to just keep an eye on the temp and baby it. I started it up without issue and started driving home with my wife behind me. No smoke until it warmed up and then I got a decent amount. Then it stopped for 3 miles until I started going down hill. Then it started smoking again. Once I leveled off it stopped again and I went another 10 miles or so without issue. We hit a bit of traffic so I had to slow down to about 30 miles an hours on the freeway. When the traffic cleared and I accelerated I got a massive amount of smoke but once I was back at "crusing speed"(65mph) the smoke stopped. My friend looked at it and thought that it could just be a bad valve cover gasket. He replaced that on Sunday. I took it for a spin for about 10 miles and there was no leak and no smoke. Well I took it for a short drive today(about 3 miles) to go get a tire replaced and it was leaking again but this time it was more water than it was oil.

I'm not big on cars so I am completely confused. Could this be a blown head or a leaking gasket or cracked block or what? Any insight that you could provide would be appreciated. Thanks.

Carkiller(btw I chose the name because I've lost 2 cars in the last 2 years...this honda is my 3rd) :(

This dose sound like either a head gasket cracked head or block on this old of a model you should be able to locate that motor in salvage with at least a 90 day wnty for about 450 to 500 dollars
if you cant please feel free to give me a call or drop an e-mail I will be glad to help
479-639-2575