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Without a photo I can not be certain, but I'm wondering if it could be sunscald: http://www.missouribotanicalgarden.org/Portals/0/Gardening/Gardening%20Help/images/Pests/Sunscald_of_Tomato624.jpg

It is difficult to say without an image, but this link discusses the most common issues.

https://www.gardeningknowhow.com/edible/vegetables/pepper/common-pepper-plant-problems.htm

This appears to be a case of powdery mildew. I recommend using the recipe as follows for best results: First, you will want to prime the soil with dolomitic lime, then spread wettable sulfur to Kill off any infection in the soil. I Also like to spray the plant itself. Mix a few drops of one or more of these ingredients into warm water with a spoonful of coconut oil: Rosemary oil, lavender oil, neem oil, garlic oil, cinnamon extract/oil and for really bad cases, also add clove oil.

Here is an article to help you diagnose further problems with your peppers, should any arise in the future: https://www.gardeningknowhow.com/edible/vegetables/pepper/common-pepper-plant-problems.htm

My question to you is this: Did you harvest the seeds from previous peppers, or did you buy the seeds?

If you bought them, then more than likely there is a hot pepper somewhere nearby that is not known about. If they were harvested from previous peppers, then it is a good chance that it was cross pollinated the previous generation. Either way, there is a hot pepper plant somewhere to blame.

This is their normal process. You will want to split them up into their own containers within a week or so. If you don't the roots will get tangled and will get damaged when trying to transplant. Each pepper will grow just fine in a 2 gallon container or bigger. Or you can plant them into the ground when the weather is warm enough to do so.