Phi is the positive solution of x squared equals x plus one, which makes it exactly (1 + the square root of 5) divided by 2, or 1.6180339887 and onward without repeating. Euclid defined the same ratio geometrically as cutting a line in extreme and mean ratio: the whole is to the greater part as the greater part is to the lesser. It has the unusual property that both its reciprocal and its square are itself shifted by one, so that one divided by phi is 0.618 and phi squared is 2.618.
Its connection to the Fibonacci sequence is exact and provable rather than approximate. Take 1, 1, 2, 3, 5, 8, 13, 21, 34, each term the sum of the two before it. The ratios of consecutive terms (3/2, 5/3, 8/5, 13/8, 21/13), fall alternately above and below phi and converge on it. The same holds for any sequence built by that rule, whatever two numbers it starts from, which is a stronger and less well known result.
The deep fact is about irrationality. Written as a continued fraction, phi is one plus one over one plus one over one, and so on forever, entirely ones. That is the slowest-converging continued fraction there is, which makes phi the number least well approximated by any fraction, the most irrational of the irrationals, in a sense that can be made precise. Everything genuinely true about phi in the natural world follows from this property, not from beauty or proportion.
The names are worth dating, since they are usually misdated. Divine proportion comes from Luca Pacioli's book of 1509, illustrated by Leonardo. Golden section, goldener Schnitt, is a nineteenth-century coinage generally credited to Martin Ohm in 1835, though isolated earlier appearances are documented. It was the psychologist Adolf Zeising who did most to spread the term, together with the aesthetic claims that have travelled with it ever since.