It can be approached in a graphical manner:
- Draw the graph of $y = \frac{1}{4-x}$ to scale while marking the essentials.
- Asymptote at $x=4$; Value at $x = 3$ is $1$.
- Comparing it to the previous value of the sequence would require the plot of $y=x$ on the same axes.
- Mark the intersection as $x=2-\sqrt3$ whereas $x=2+\sqrt3$ is near $x=4$.
If through, notice that starting the sequence from $x=3$ means that the next value is $1$ from the hyperbola which is well below the straight line. Now to get the next value put $x=1$ and get the next value from the hyperbola, which is again less than $1$ as the straight line depicts.
If you follow the pattern, you would tend to reach the intersection $x=2-\sqrt3$ as the gap between both the curves decreases to zero which gives the limit of the sequence as $x=2-\sqrt3$ (the limit only, not one of the terms of the sequence, since these are all rational numbers).
Also, one can thus say that if $x_1 \in (2-\sqrt3,2+\sqrt3)$ then the sequence would be decreasing and would converge at $x=2-\sqrt3$ and that all the terms $x \in (2-\sqrt3,2+\sqrt3)$.