No, Wall Street Watch doesn't blame the Fed for any such thing. Dean Baker does indeed discuss the Fed, but more in a "dereliction of duty" manner than as an active player:

While there is no simple path out of this crisis, it was a crisis that could have been easily avoided. If the Federal Reserve Board had acted to stem the growth of the housing bubble before it grew to such dangerous proportions, the country would not currently be facing a recession and the prospect of a financial collapse.

Alan Greenspan had the tools necessary to rein in the bubble had he been so inclined. First, he could have imposed tighter restrictions on mortgages, as the Fed has recently done. This would have prevented many of the worst mortgages that led to the subprime crisis and helped inflate housing prices.

More importantly, he could have used his platform as Fed chairman to explicitly warn of the dangers of the housing bubble. In his congressional testimonies and other public appearances, he could have carefully explained how house prices had diverged from a 100-year long trend in the mid-90s.