IMHO, I don't think moving ribbon over indicator is good interaction as it contradicts general mental model of moving marker over a range of values. e.g. setting temp. on thermostat, volume on audio mixing device etc.
However, if you want to stick to moving ribbon -
1) Do not show indicator as a control, just making number bigger would suffice rather than having a circle around it. Users move indicator because it looks like a control.
2) Or best way, separate it from ribbon by some distance
3) Or just show a pointer/needle in the middle (like you have shown) without highlighting number on pointer
Edit:
On touch based devices, it makes sense to move ribbon if you can not show all range values in single view. e.g. setting date/time on mobile clock
