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When I checked on the watermelon plant today I found this odd discoloration at the soil level, hidden under the leaves right by one of the fruits. I assume this is a fungus; is it dangerous? And if so, what should I do about it?

https://www.dropbox.com/s/ivh5sv10pygkgb9/2020-08-05%2014.10.12.jpg?dl=0

ETA: it turns out to be all throughout the patch of watermelon, and in some places is bright yellow: https://www.dropbox.com/s/qq9luo3pzrsms15/2020-08-05%2017.38.10.jpg?dl=0

I also found mushrooms that might be related: https://www.dropbox.com/s/dbmtman6xyawcpx/2020-08-05%2017.42.09.jpg?dl=0

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Nothing to worry about from harm to your plant point of view - it's a slime mould, Fuligo septica, often commonly called dogs' vomit slime mould or scrambled egg mould. The toadstool is unrelated to the slime mould. Both are present because of damp, shady conditions at soil level and are associated with the woody material on top of the soil/mulch. The yellow parts are the slime mould 'blooming', meaning it's about to produce spores; equally, the toadstool is the fruiting body of mycelium present throughout the soil. Both of these organisms break down dead, woody material, and whilst the slime mould can be unpleasant in appearance, it won't damage your melon plant. More info on slime mould here https://www.thespruce.com/identifying-and-controlling-dog-vomit-fungus-2539510

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