No there was not a white layer. I'm thinking it was my Wacom tablet because when I restart my laptop everything was working back normal. The problem just occured again tho. I'm thinking Photoshop has a bug or its my Wacom tablet that has a bug.
The Background layer is a special type of layer which does not support transparency. You can convert it to a regular layer via Layer > New... > Layer from Background, or by double-clicking on it in the Layers panel (but not on the thumbnail).