As a general rule, setting a bike up so that it has too little reach is really difficult to achieve. Too much happens almost automatically to most people.
But typically when facing any sort of neck, arm, or hand pain the issue isn't really with reach or drop but rather with saddle height. Most people have their saddle too high, which causes pelvic instability which then transfers issues to the upper body as it has to take the slack the pelvis isn't supporting.
Mentioning saddle discomfort with the earlier saddle (which is also most times caused by too high a saddle height) and going to feeling cramped but still having upper body discomfort really kinda hints at the issue not being at the cockpit area at all.
As a second general rule, your saddle can't really be too low unless we're talking something comically low. And even if it is, it doesn't really cause any issues. Knee issues from too low saddles etc. is largely a myth unless we're discussing a powerful rider with a saddle height thats too low to the extreme (several cm below the low threshold). All the injuries come from too high a saddle height.
So lowering the saddle is something I'd try