4WD light blinking on startup

On two separate occasions this week I've started up my truck and noticed the green 4WD light blinking for no apparent reason. Both times I was leaving my office and started up the truck from cold (or at least after not driving it for 4+ hours) and if I switched into 4WD and back into 2WD the light went out. This has never happened before in the 8+ years I've owned my truck so I'm wondering if something is going bad.

Relevant details:
1. The frame was replaced and a 2" lift was installed last month.
2. On two separate occasions last winter I tried to shift from 2WD into 4WD while driving and it wouldn't go into 4WD (and the light would blink) so I had to pull over and restart the truck. Every other time when I switched in and out of 4WD it worked fine.

Thoughts? I can root around under the truck this weekend.

 

It possible the indicator switches are on there way out. They are located on the transfer case unit.
Remove and test they should be open normally and the around 1ohm when pushed down