Motion estimation methods based on differential techniques proved to be very useful in the context of video analysis, but have a limited employment in classical video compression because, though accurate, the dense motion vector field they produce requires too much coding resource and computational effort. On the contrary, this kind of algorithm could be useful in the framework of distributed video coding (DVC). In this paper we propose a differential motion estimation algorithm which can run at the decoder in a DVC scheme, without requiring any increase in coding rate. This algorithm allows a performance improvement in image interpolation with respect to state-of-the-art algorithms.