1. Preheat oven to 400 degrees Fahnreheit. Grate potatoes and add 1/2 teaspoon salt. Mix well and let drain in colander set over a bowl for 20 minutes.
2. In a large skillet, saute spinach, red pepper and chilies in olive oil. Season with two teaspoons garlic powder, two teaspoons onion powder and 1/2 teaspoon salt. Cook until most of the water has evaporated, six to eight minutes. Set aside.
3. Using a towel, squeeze as much water out of the grated potatoes as you can. Season with 1/2 teaspoon garlic powder, 1/2 teaspoon onion powder and 1/2 teaspoon black pepper. Add vegetable oil and mix well.
4. Generously spray a 12-cup muffin pan with cooking spray. Arrange grated potatoes into each muffin cup, pressing against the bottom and sides.
5. Preheat oven to 350 degrees Fahrenheit. Bake potato cups for 15 minutes or until they begin to brown and crisp. Set aside.
6. In a medium-sized bowl, beat eggs with a pinch of salt. Add to spinach mixture and mix until well-combined.
7. Evenly spoon spinach mixture into each potato nest. Bake for 10-15 minutes or until egg is cooked. Let cool slightly.
8. Garnish each with a slice of avocado, if desired, and mini red peppers.