So should I set out the seedlings now?

I'm 6B Taxachusetts, yes.

Soil temps from 60 to 80f should be good. And they will only get warmer. I don't know exactly what your growing season is like, but you probably should have started your peppers a while ago. But you should still have enough time to get some good production out of them. Throw up some pictures when you get a chance.

esox07, I planted out my first batch of hot peppers in early May. They were good size, but they have not put out any growth yet. Our spring was cold prior to the current heat wave. I think they should take off with the hot weather.

I just planted my 2nd batch peppers, most sweet peppers. I filled the empty space I reserved for the 2nd batch. Those pepper seeds did not sprout the first time, so I had to start them again.

When I planted the seedlings, I saw the roots filled most of the seedlings cells. If I continue to keep them in the cells, they will not grow roots much. So it is better to set them out now and let them develop roots, even without much top growth.

I still have my 3rd batch, just some habanero peppers. They are about 2" tall. I'm going to keep them in cells for one more week and set them out later. Last year, I planted my small pepper seedlings on 5/31/2015 and I had very good harvest.

I start my peppers in mid to late february. It is almost a requirement in order to get good production in my growing zone. I had to pot up one time before getting them outside about a week ago.

Peppers typically go dormant after a transplant. Especially one from indoor to outdoor growing conditions. I can't really detect any growth in mine since I planted them out either. I consider that a win vs looking worse. And I expect them to begin to take off soon. Our weather so far has certainly been good growing weather for this time of year.